Barclays ups Stroeer to 'equal weight' after sell-off

Stroeer SE & Co KGaA

12/08/2022 09:52

** Barclays upgrades Stroeer  SAXG.DE  to "equal weight"
from "underweight" citing valuation, recent share price
underperformance, and its positive view on the German
advertising company's long-term growth
    ** It lowers its target price on the stock by 4% to 53 euros
as it cuts its 2023 EBITDA forecast by 16% and for 2024 by 5% to
factor in a recession and a recovery in the next two years
    ** "Q2 was more or less in line and Q3 guidance is solid,
but growth needed in Q4 to reach the bottom of 10-14% full-year
organic guidance appears aggressive to us," Barclays says
    ** "We don't rate the stock Overweight because of cyclical
risks next year," it adds
    ** Up to the previous session's close, the shares were down
33.5%​ YTD
    ** Out of 14 analysts, eight rate the stock "buy"/"strong
buy", five rate it "hold" and one "sell"

 (Reporting by Anastasiia Kozlova)
 ((Anastasiia.Kozlova@thomsonreuters.com))